Dewan Housing Finance Corporation's (DHFL) fund management arm, ArthVeda Fund Management (AVFM), through its second real estate fund - ArthaVeda Star aims to raise Rs 200 crore, with a green shoe option of Rs 100 crore. The fund will be invested in middle income housing projects in Tier-II and III cities. The investment ticket size will be between Rs 5 crore and Rs 20 crore, with minimum investment duration of three years.
The company for this has already identified 16 Tier-II and III cities. Additionally, the company has also received soft commitment of Rs 80 crore from ultra HNIs and HNIs for this fund, which aims to invest in Special Purpose Vehicles (SPVs) having an ownership of 51 to 75%.
DHFL, with more than two decades of experience, is among the oldest private sector Housing Finance Companies (HFC) in India. It is the fourth-largest HFC with total asset size of around Rs 16,674 crore as on March 31, 2011. It has a strong presence across India through its 72 branches and 116 service locations. DHFL caters to a large section of Indians working in the Middle East through its overseas branch in Dubai.
